trending Market Intelligence /marketintelligence/en/news-insights/trending/A2wDz3PKIMEHe61CzG_1eg2 content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

Thank you for your interest in S&P Global Market Intelligence! We noticed you've identified yourself as a student. Through existing partnerships with academic institutions around the globe, it's likely you already have access to our resources. Please contact your professors, library, or administrative staff to receive your student login.

At this time we are unable to offer free trials or product demonstrations directly to students. If you discover that our solutions are not available to you, we encourage you to advocate at your university for a best-in-class learning experience that will help you long after you've completed your degree. We apologize for any inconvenience this may cause.

In This List

Moody's cuts Australia 2020 GDP growth forecast due to bushfires

Street Talk - Ep. 64: Coronavirus jumpstarts digital adoption

Street Talk Podcast

Street Talk - Ep. 63: Deal talks continue amid bank M&A freeze, setting up for strong Q4

Street Talk Podcast

Street Talk - Ep. 62: 'Brutal' outlook for oil demand offers banks in oil patch no relief

Amid Q1 APAC Fintech Funding Slump, Payment Companies Drove Investments


Moody's cuts Australia 2020 GDP growth forecast due to bushfires

Moody's cut its 2020 GDP growth forecast for Australia to 2.1% from 2.3%, in light of the destruction from the ongoing bushfires, saying the economic impact has so far been "limited" as the bushfires have mainly hit rural areas.

Lost output from affected regions, weakened consumer confidence and reduced tourism, among other factors, are expected to weigh on economic growth, with crop yields having been affected too.

Australia should be able to absorb the near-term credit impact from the ongoing bushfires, but recurring costs are set to rise over time due to increasing frequency and intensity of natural disasters, Moody's said.

"Over the longer term, if bushfires of this severity were to become more frequent, we would expect tourism and investment, especially in rural areas, to be affected," Moody's said. "We currently do not expect climate change to significantly undermine the sovereign's economic strength."

Australian states and local governments are primarily responsible for natural disaster prevention and preparing a response to such disasters. While there are various Commonwealth tools for reimbursement for up to 75% of the costs incurred, reimbursements can take several years in some cases, making the liquidity challenge the immediate and main credit implication of the bushfires.

Destruction from the bushfire season, which affected 10.7 million hectares of area as of Jan. 8, has been concentrated in Australia's New South Wales and Victoria states. That is more than 10x the area burned in the 2019 Amazon rainforest wildfires.

Moody's said that fiscal and liquidity implications for Australia should be minimal due to its fiscal strength.